AT&T has completed the sale of its advertising business to an affiliate of Cerberus Capital Management, L.P.
The telecom giant received about $750 million in cash, a $200 million note and a 47 percent interest in the new entity called YP Holdings LLC.
AT&T anticipates the deal will have “minimal effect” on its annual earnings, and the company “does not expect to record a material gain or loss on the transaction.”
YP includes Yellow Pages print directory titles reaching about 150 million homes and businesses in 22 states, website YP.com, an ad network that includes around 300 mobile and online publisher websites, and an app that allows users to search local businesses from their mobile devices. AT&T said the business units brought in about $3.3 billion last year.
The sale excluded the recently formed AT&T AdWorks, which sells advertising offerings across online, mobile and TV.